PetroChina said on Monday that it would increase its monthly diesel production by 7 percent in June month-on-month, to ease the current fuel shortages partly caused by the May 12 quake relief work.

Operation of a PetroChina refinery in Nanchong City, Sichuan Province, was halted after the deadly earthquake and the busy summer harvest season also contributed to the rising domestic fuel demand, said the company.

The company did not disclose the specific diesel production volume in June, but Tian Jinghui, vice president of the refining and marketing company of PetroChina, said on Monday that the country's largest oil producer would continue suspending diesel exports to guarantee domestic supply.

PetroChina stopped diesel exports in September last year.

"The company is scheduled to import more than 2.4 million tons of diesel this year and maintain the export suspension in a bid to meet domestic market demand," added Tian.

The company had shipped 351,800 tons of oil products to Sichuan Province and provided 24-hour filling services in the worst affected quake zones, said Wang Yilin, vice general manager of the China National Petroleum Corporation, the parent company of PetroChina.

Wang said the oil product reserve stood at 630,000 tons at gas stations in quake zones, including Sichuan, Chongqing, Shaanxi and Gansu by Sunday, which would ensure the needs of the regions for 12 to 18 days.

A circular of the State Council, the Cabinet, last week ordered PetroChina and Sinopec to guarantee oil supply to the quake zone.

(Xinhua News Agency June 3, 2008)